Rock Creek Golf Club. Essay

910 words - 4 pages

REVIEW OF FACTSRock Creek Golf Club is a public golf course owned by a private company and managed by Lee Jeffries. The case entails a debate about the golf carts used to take players around the course instead of walking around. The carts they already owned were old and there was a need for new golf carts.Approached by two salesman, Lee Jeffries was forced to chose to make a deal with one of them. Salesman A offered carts at \$2,240 each and at the end of five years the expected salvage value was going to be \$240 each.Salesman B proposed to lease the golf carts for \$500 dollars per cart per year. This was payable at the end of the year for five years and the contract could be cancelled at any time with 90 days notice. This deal was easier to get out of.Either way \$420 dollars in costs per cart per year were expected and revenue of \$84000 per year was expected.EXECUTIVE SUMMARYThis case concerns whether to buy golf carts or lease golf carts. The financial implications are different based on the way the golf course acquires (buys or leases) use of the carts and on the terms used in acquiring them.The questions posed in this case bring to light the answers that would tell an owner of a golf course presented with the terms for sale and the terms for lease of golf carts that he was presented with, what he should do.We calculated what the interest payments would be each year if we paid for the golf carts each year for five years, and also the principal payment for each year. We also figured out what the interest rate would be for the lease of the carts with the terms that would presented. With this information available to us, along with the present values for each of the terms and options the owner of the golf course should be able to make an intelligent decision since the revenue and expenses for each option, that he expects to generate or incur, are the same throughout the course of the year.ISSUES1.Assume that in order to purchase the carts, RCGC would have to borrow \$89600 at 8 percent interest for five years, repayable in five equal year end installments. Prepare an amortization schedule for this loan, showing how much of each year's payment is for interest and how much is applied to pay principal.2.Assume sles person B's company also would be willing to sell the carts outright at \$2,240 per cart. Given the proposed lease terms, and assuming the lease is outstanding for five years, what interest rate is implicit in the lease? (Ignore tax impacts to the leasing company when calculating this implicit rate.) Why is this implicit rate...

Find Another Essay On Rock Creek Golf Club.

Our prespective from a functionalist and conflicts theory about discrmination in private clubs.

1895 words - 8 pages wish to have it or not (Curry 2000:102). Since the club had already been formed being just males, the woman has no right to be allowed in the group or club. Perhaps the most publicized case in which this has been presented is the question of whether or not women should be allowed to join the Augusta National Golf Club. According to a report by the Associated Press in the Augusta Chronicle Daily News, roughly 75% of male members surveyed (IRC

Metallica Essay

2327 words - 9 pages Zeb Kirby English 106 November 30, 2000 The band was born in the early 80s and is still in the making. The rock band has had many hits including some Grammy award winners. The group has had its up and downs as a band. I saw them in concert three years ago in Cincinnati. You can see Metallica in concert about any place in the world. I did this research on Metallica and the band's history because I don't know that much on them. There are a few

let pilots arm themselves

892 words - 4 pages own a weapon because I have learned that the world is a very dangerous place and, if any one ever breaks into my house and threatens the life of my family, I intend to go downstairs with something more than a golf club. I am a reformed pacifist. At one time in my life, I believed that to be a Christian was to be non-violent in all situations. I mistakenly believed that when Jesus said to "turn the other cheek," it was the duty of all

The socialized higher primate

1580 words - 7 pages time I was open to anything, Tried everything from golf to whitewater kayaking, so there was now question when the proposal to go climbing with my roommate came up. The summer of 2012 I tried climbing for the first time and absolutely fell in love smith rock, the feeling of climbing and the people I was doing it with. After leaving Bend, at the beginning of summer to transfer to University of Oregon, I decided that the quickest way to find

Sport And Race

3440 words - 14 pages LOGIC IN SPORT: RECENT EXAMPLES I will mainly provide US examples here Australian examples will follow.1. In the 1980s Arthur Ashe could name places where he could not play tennis because of his colour.2. Downtown New York Athletic Club would give prizes to black athletes but never permitted blacks as members.3. Shoal Creek Golf Club in Alabama did not allow blacks as members. Also the Pebble Beach Club, Olympic bid for golf, no black members.4

Property Valuation

2603 words - 10 pages Altona North are: the Altona Gate shopping Centre, the Kororoit Creek Trail, The Kororoit Creek and Foot Locker warehouse. There is golf club; Altona Lakes Golf Club at Paisley Park located in Manson Street. Public transport is also available. Property Inspection A property inspection is a detailed examination of a property before it is valued; this is in term of its physical features and physical condition. It is important to know however

The Central Coast

1167 words - 5 pages stretching all along the coastline e.g. Woy Woy to Patonga and various sites for rock climbing and exploring.Tourist attractions:- Central Coast tourist attractions are many and varied and cater to all age groups and budgets e.g. Australian reptile park, Fishermen's Wharf, and the Entrance Wharf as well as a variety of pubs, clubs and restaurants, hotel cafe's, cinemas, markets, fishing spots and so much more the coast has to offer.The Central

Theodore Roosevelt . This is about how i believe that Theodore Roosevelt is a coward

6242 words - 25 pages In Washington, D.C., there is--or was--a place where Rock Creek crosses the main road and makes a ford which horses and, later, cars could cross if the creek was not in flood. Half a hundred years ago, I lived with my grandparents on a wooded hill not far from the ford. On summer days, my grandmother and I would walk down to the creek, careful to avoid the poison ivy that grew so luxuriously amid the crowded laurel. We would then walk beside the

Friendship - A Bond of Love and Hate

1392 words - 6 pages could not help but to give too little. In my experience with Sarah, this role taking tends to rotate back and forth, which makes our friendship exciting, bewildering and, ultimately, both challenging and rewarding. To say that Sarah’s friendship has had an impact on my life would be like saying the Grand Canyon is a large gash in a rock that happens to be pretty. She has helped shape who I am and taught me remarkable lessons about love and hate

Summery of novel "The Catcher in the Rye."

1636 words - 7 pages and leave Holden to take care of the bill.As Holden goes out to the lobby, he starts to think about Jane Gallagher and, in a flashback, recounts how he got to know her. They met while spending a summer vacation in Maine, played golf and checkers, and held hands at the movies. He felt they really connected.Holden leaves the Edmont and takes a cab to Ernie's jazz club in Greenwich Village. Again, he asks the cab driver where the ducks in Central

Life in the 1850's

2656 words - 11 pages Life in the 1850's In 1850, Scandinavian gold miners in California formed the first ski clubs in the United States. On June 2nd, a series of fires destroyed several million dollars worth of property in San Francisco. In 1851, Cornelius Vanderbilt established a steam ship route from New York to California. In 1852, Congress established the Oregon territory. A year later, a San Francisco club introduced the Irish sport

Similar Essays

A Good Walk Spoiled Essay

2370 words - 10 pages Golf, as Defined by Mark Twain, “is a good walk spoiled”, and too many in this day it is becoming more and more common to be looked at in this way. Golf, beginning around 1996, entered a new era, and that is the one controlled by a sports icon, named Tiger Woods. What used to be a game for elderly gentleman sitting at the country club, playing nine holes a day on a fairly easy golf course, took a whole new shape. Golf became a game of long tee

Golf: A Perfect After School Activity Essay

1815 words - 7 pages flexibility in men and women, and keeps the range of motion high with the swinging motion of the golf club, which is a big plus for the students today as they get a head start to being able to do more stuff at an older age. With golf health benefits are not hard to find “Gary Wiren, who maintains the ability to hit the drive shot 300 yards despite being 75 years of age” (Fountain of Truth 3) is a prime example to see how golf adds years to your life. A

Snowmobiling On Priest Mountain Essay

1228 words - 5 pages Dodge. By the time I reached Cedaredge, I couldn't even see the sleds behind me because the snow was flying like crazy. I wondered why my dad was still playing golf in this weather, but that's my dad; he loves to play golf. The whistle of the turbo diesel and the classic rock was getting me pumped for the awesome ride to come. By the time we were on top of the mesa, there was one foot of new fluffy snow, and the clouds were moving out

Untitled Essay

9007 words - 36 pages         6930 FAX – Softball Programs         817-459-6932 Golf Administration - 7005 Golf Club Drive Golf Programs Manager - Greg Durante         817-548-5041 Superintendent of Golf Operations - Evonne Sandas         817-478-8500 Golf Business Analyst – Erin Bandy-Clark         817-548-5043 Service Unit Coordinator – DeVonna Gray         817-548-5061 Administration Fax         817-478-1328 Courses: *Chester W. Ditto